Financial sector profile in Rwanda
Characteristics of the sector
- The Rwandan Financial Sector is still quite young
- The sector is made up of seven commercial banks, one development bank, saving and credit schemes, microfinance institutions
- There is a capital market and non financial services like insurance companies and pension funds.
- The sector is narrow and shallow
- Banks work in an austerely monitored environment, but there have been a series of monetary easing measures of late.
- 14% of Rwanda’s adult population is banked which offers investment opportunities for investors keen on reaching untapped markets.
- National financial sector penetration was 28.1% in 2012
Current situation financial sector
The banking sector has seen tremendous growth over the past 5 years and seen increased participation by multinational banks. The market capitalization of the banking sub sector is US$200 million supporting US$1 billion in assets
There is a Financial Sector Development Program that is aimed at deepening financial services and increasing the reach of financial services to the Rwandan population.
Key players in the banking sector are Access Bank, Banque Commerciale du Rwanda, Banque de Kigali, Banque Populaire du Rwanda, Ecobank, and KCB. Key players in the Insurance sub sector are AAR, COGEAR, CORAR, RAMA, MMI, SONARWA, and SORAS
Current products offered by financial sector in Rwanda
- Venture capital
- Point of Sales Terminal
- Western Union Money Transfer
- Mobile Banking
- Online Banking
- Internet Banking
- ATM Services
- Access online
- Access Alert
- Limited long term mortgage financing
The Financial sector of Rwanda has been summarised to include the following